Irons on FFP watch list
Hammers on FFP watchlist
This is what the UEFA FFP watchlist means for West Ham.
UEFA’s FFP new regulations are even stricter than those in the English Premier League. The allowable losses are just over £50m (or 60m Euros), compared to £105m in the Premier League.
West Ham lost £65million in 2020 and £26.5million in 2021.
The Irons then made a £10.5million in 2022 but the rolling losses total £81million, which is around £30million over the limit.
West Ham’s financial performance means they start next season on UEFA’s watchlist for FFP.
The Financial Fair Play (FFP) impact for players is a result of asset depreciation. Every year, a player loses value equal to 1/the length of their contract. So if you give them a five year contract they lose 20%, if you give them a 10 year contract they lose 10%. That is a loss that’s counted for FFP.
So in order not to fall foul of FFP, we have to be far more savvy in the transfer department and now that we have Tim Steidten, hopefully we are in safe hands.
Somewhat strangely, it appears that if we do get fined it would only relate to income the Hammers have generated in European competition.
